Hong Kong: Retail sales accelerate in June
August 1, 2013
In June, retail sales increased 13.4% over the same month last year, which represents an improvement over to the 12.2% expansion recorded in May. June's print overshot market expectations of a 10.6% increase. The acceleration resulted from higher sales of jewellery and valuable gifts as well as of consumer goods. Retail sales expanded a seasonally adjusted 2.8% in the three-month period up to June, compared to the previous period. The reading came in below the 3.6% increase observed in May. A government spokesman acknowledged the notable year-on-year increase in retail sales, which reflects resilient inbound tourism and upbeat consumer confidence in Hong Kong. The spokesman added that stable job market conditions and further growth in inbound tourism should buttress retail sales in the coming months. FocusEconomics Consensus Forecast panellists expect retail sales to expand 13.4% in 2013, which is up 0.6 percentage points over last month's projection. Next year, the panel sees retail sales accelerating to a 15.0% increase.
Author: Ricardo Aceves, Senior Economist